This is the response of the Ministry of Finance to the Japanese Embassy on tax policy for temporarily imported and re-exported goods.
Analyzing the import tax policy for temporarily imported and re-exported goods, the Ministry of Finance stated that according to Point a, Clause 9, Article 16 of the Law on Export Tax, the import tax shall be: "Goods temporarily imported, re-exported and temporarily re-import and re-import to organize or attend fairs, exhibitions, introduce products, sporting, cultural, artistic or other events; machinery and equipment temporarily imported for re-export for testing and product development research; machinery, equipment and professional tools temporarily imported for re-export, temporarily exported for re-import to serve jobs within a certain period of time or for processing for foreign traders, except for machinery and equipment tools and means of transport of organizations and individuals permitted to temporarily import and re-export to implement investment projects, construction and installation of works, serving production ”.
At Point d, Clause 1, Article 19 of the Law on Export Tax, Import Tax stipulates: "Taxpayers have paid taxes on machinery, equipment, tools and means of transport of organizations and individuals permitted to temporarily import, re-export, except for cases of renting for execution of investment projects, construction or installation of works, production service, re-export to foreign countries or export into non-tariff areas. The refunded import tax amount shall be determined on the basis of the remaining use value of the goods upon re-export calculated according to the time of use and stay in Vietnam. In case the goods have expired their use value, the paid import tax shall not be refunded. There is no tax refund for the amount of tax refunded below the minimum level prescribed by the Government.
Accordingly, the Ministry of Finance said that Japanese construction machinery, bulldozers, ships ... temporarily imported for re-export to implement ODA projects in Vietnam are not subject to import tax exemption, so they must The import tax shall be paid upon temporary import, when re-exported, the import tax refund shall be refunded corresponding to the remaining use value of the goods upon re-export.
In terms of conditions for application of special preferential import and export taxes under the Comprehensive and Trans-Pacific Partnership (CP-TPP) agreement, if Japanese contractors temporarily import goods from Japan to meet regulations On the origin of goods and other conditions stipulated in the CP-TPP Agreement, special preferential tax rates applicable under the CP-TPP Agreement shall be applied, and when re-exported, the corresponding import tax shall be refunded. remaining use price of goods.
Regarding VAT, the Ministry of Finance said that according to current regulations, Japanese contractors' machines and supplies temporarily imported or re-exported are not subject to VAT.
With the Special Consumption Tax, the case of machinery and supplies is not cars, motorbikes, airplanes, yachts, air conditioners, petrol types specified in Clause 1, Article 2 of the Law on Consumption Tax The temporary import for re-export to implement the project is not subject to Special Consumption Tax.
Cases of temporarily imported and re-exported machinery and supplies for the execution of projects are those subject to special consumption tax specified in Clause 1, Article 2 of the Special Consumption Tax Law and subject to import tax. Export tax and tax shall be subject to Special Consumption Tax upon temporary import and shall be entitled to refund the special consumption tax already paid upon re-export according to the provisions of Clause 1, Article 8 of the Special Consumption Tax Law.
According to Hai Quan Online Newspaper